tax code help

Daniel2704

Hi

I have gave my employer my P45 last mopnth, but for some reason I have been put on 232T tax code!

What does this code mean, because my P45 had tax code 1060L on it. do i need to call hmrc or is this normal. My income is only 10,540 a year so I'm a little confused by the T tax code

Robbie64

https://www.gov.uk/tax-codes/letters-in-your-tax-code-what-they-mean

https://www.gov.uk/tax-codes/overview

Robbie64

It might be worth contacting your employer first before trying to contact HMRC. The employer should have received notification from HMRC about what code to put you on but this doesn't always happen before a code is applied. At the very least your employer will be able to point you in the direction of who to contact at HMRC.

NYM

From reading some of your other posts is there a possibility that you've been put on this new coding so they can recover the budgeting loan?

Calling HMRC would really be the best solution.

Daniel2704

OH! Ok Thank You, that makes a lot more sense. I didnt know they did that, so does that mean then my tax code will just revert to normal again once the load is paid?

Darksparkle

I've never heard of a tax code being changed to repay a budgeting loan. Call HMRC.

Daniel2704

yeah i think ill probably do that anyway! thanks again guys for your help, much appreciated

teddysmum

The loss in tax allowance is £8280 which would raise £1656 . Does this fit with what you owe (ie equal to or lower, if more than a year to pay is allowed) ?

Daniel2704

I owed £362.75 for the budgeting loan that I took out in 2013, I don't know why I would owe £1656... i'm sorry if i misunderstood, im now a little confused

what does this mean?

neilvw

Could it be recovery of overpaid tax credits? Tax code can be adjusted for this if you are no longer in receipt of them. Or it could be just an error.

Ring HMRC and please let us know what the reason is.

Daniel2704

I'm not to sure, I cant recall receiving any Tax Credits. I only ever claimed JSA, and when I was working I never claimed any additional benefits, but I'll give them a call to find out. Its prob the best thing to do anyway and I'll let u know